US-China tariff talks to continue Sunday, an official tells The Associated Press

GENEVA (AP) — Sensitive talks between U.S. and Chinese delegations over 
tariffs that threaten to upend the global economy ended after a day of 
prolonged negotiations and will resume Sunday, an official told The 
Associated Press.

There was no immediate indication whether progress was made Saturday 
during the meeting over 10 hours between Treasury Secretary Scott Bessent, 
U.S. Trade Representative Jamieson Greer and a delegation led by Chinese 
Vice Premier He Lifeng.

The official who spoke to the AP requested anonymity because of the 
sensitivity of the talks, which could help stabilize world markets roiled 
by the U.S.-China standoff. The talks have been shrouded in secrecy, and 
neither side made comments to reporters on the way out.

Several convoys of black vehicles left the residence of the Swiss 
ambassador to the U.N. in Geneva, which hosted the talks aimed at de-
escalating trade tensions between the world’s two biggest economies. 
Diplomats from both sides also confirmed that the talks took place.

Saturday’s talks were held in the sumptuous 18th-century “Villa Saladin” 
overlooking Lake Geneva. The former estate was bequeathed to the Swiss 
state in 1973, according to the Geneva government.

Prospects for a major breakthrough appear dim. But there is hope that the 
two countries will scale back the massive taxes — tariffs — they have 
slapped on each other’s goods, a move that would relieve world financial 
markets and companies on both sides of the Pacific Ocean that depend on 
U.S.-China trade.

U.S. President Donald Trump last month raised U.S. tariffs on China to a 
combined 145%, and China retaliated by hitting American imports with a 
125% levy. Tariffs that high essentially amount to the countries’ 
boycotting each other’s products, disrupting trade that last year topped 
$660 billion.

Even before the talks began, Trump suggested Friday that the U.S. could 
lower its tariffs on China, saying in a Truth Social post that “ 80% 
Tariff seems right! Up to Scott."

Sun Yun, director of the China program at the Stimson Center, noted it 
will be the first time He and Bessent have talked. She doubts the Geneva 
meeting will produce any substantive results.

“The best scenario is for the two sides to agree to de-escalate on the … 
tariffs at the same time,” she said, adding even a small reduction would 
send a positive signal. “It cannot just be words.”

Since returning to the White House in January, Trump has aggressively used 
tariffs as his favorite economic weapon. He has, for example, imposed a 
10% tax on imports from almost every country in the world.

But the fight with China has been the most intense. His tariffs on China 
include a 20% charge meant to pressure Beijing into doing more to stop the 
flow of the synthetic opioid fentanyl into the United States. The 
remaining 125% involve a dispute that dates back to Trump’s first term and 
comes atop tariffs he levied on China back then, which means the total 
tariffs on some Chinese goods can exceed 145%.

During Trump’s first term, the U.S. alleged that China uses unfair tactics 
to give itself an edge in advanced technologies such as quantum computing 
and driverless cars. These include forcing U.S. and other foreign 
companies to hand over trade secrets in exchange for access to the Chinese 
market; using government money to subsidize domestic tech firms; and 
outright theft of sensitive technologies.

Those issues were never fully resolved. After nearly two years of 
negotiation, the United States and China reached a so-called Phase One 
agreement in January 2020. The U.S. agreed then not to go ahead with even 
higher tariffs on China, and Beijing agreed to buy more American products. 
The tough issues — such as China’s subsidies — were left for future 
negotiations.

But China didn’t come through with the promised purchases, partly because 
COVID-19 disrupted global commerce just after the Phase One truce was 
announced.

The fight over China’s tech policy now resumes.

Trump is also agitated by America’s massive trade deficit with China, 
which came to $263 billion last year.

Trump slaps hefty tariffs on Switzerland
In Switzerland Friday, Bessent and Greer also met with Swiss President 
Karin Keller-Sutter.

Trump last month suspended plans to slap hefty 31% tariffs on Swiss goods 
— more than the 20% levies he plastered on exports from European Union. 
For now, he has reduced those taxes to 10% but could raise them again.

The government in Bern is taking a cautious approach. But it has warned of 
the impact on crucial Swiss industries like watches, coffee capsules, 
cheese and chocolate.

“An increase in trade tensions is not in Switzerland’s interests. 
Countermeasures against U.S. tariff increases would entail costs for the 
Swiss economy, in particular by making imports from the USA more 
expensive,” the government said last week, adding that the executive 
branch “is therefore not planning to impose any countermeasures at the 
present time.”

The government said Swiss exports to the United States on Saturday were 
subject to an additional 10% tariff, and another 21% beginning Wednesday.

The United States is Switzerland’s second-biggest trading partner after 
the EU – the 27-member-country bloc that nearly surrounds the wealthy 
Alpine country of more than 9 million. U.S.-Swiss trade in goods and 
services has quadrupled over the last two decades, the government said.

The Swiss government said Switzerland abolished all industrial tariffs on 
Jan. 1 last year, meaning that 99% of all goods from the United States can 
be imported into Switzerland duty-free.

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geneva-to-discuss-tariffs-as-the-world-looks-for-signs-of-hope/